Board Violations

The number of violations the current board of directors have blatantly violated is astonishing.  It doesn’t take a rocket scientist to quickly realize that if there’s a rule they don’t like, they will ignore it and have the board lawyer explain that everything the members want from the association is restricted and is blocked due to client confidentiality.  Persistence of the members has resulted in the lawyer actually threatening to sue members if they meet to remove the board.

Therefore, the following information on all wrongdoing of the board of directors has been compiled for review prior to submission.

Violations of NCGS 55A (Nonprofit Corporation Act)

1. Fraudulent or Dishonest Conduct (55A‑8‑10(a)(1))

• Misrepresenting which bylaws are valid
• Providing false information to members
• Manipulating eligibility lists
• Rejecting valid signatures
• Concealing records
• Misleading members about their rights

2. Gross Abuse of Authority (55A‑8‑10(a)(1))

• Refusing to recognize the 2019 bylaws
• Refusing to call a Special Meeting demanded by 10% of members
• Shutting off water as retaliation
• Blocking member participation
• Enforcing rules not authorized by governing documents

3. Violation of Director Duties (55A‑8‑30)

• Failure to act in good faith
• Failure to act in the best interest of the corporation
• Negligent water system management
• Hostile or retaliatory behavior

4. Conflict of Interest Violations (55A‑8‑31)

• Favoring friends or allies
• Using board position for personal gain

5. Improper Financial Conduct (55A‑8‑32, 55A‑8‑33)

• Unauthorized expenditures
• Illegal assessments
• Improper reimbursements
• Failure to maintain proper financial records

6. Failure to Call Special Meetings (55A‑7‑02)

• Refusing to call the Special Meeting requested by members
• Refusal to provide list of all eligible voters

7. Failure to Provide Records (55A‑16‑02)

• Refusing to provide minutes
• Refusing to provide financials
• Refusing to provide membership lists
• Refusing to provide water system records

 Violations of NCGS 47F (Planned Community Act)

1. Failure to Maintain Common Elements (47F‑3‑107)

• Neglecting water system
• Unsafe water conditions
• Failure to repair pumps, tanks, or lines
• Neglecting roads, trails, and common areas

2. Illegal Meetings (47F‑3‑108)

• Secret meetings
• No notice
• No minutes
• No member access

3. No Quorum (47F‑3‑109)

• Conducting business without quorum
• Passing motions illegally

4. Voting Manipulation (47F‑3‑110)

• Rejecting valid ballots
• Allowing ineligible voters
• Creating false eligibility lists
• Blocking write‑ins

5. Financial Misconduct (47F‑3‑115)

• Illegal assessments
• Emergency fees without authority
• Misuse of funds
• No proper budget
• No financial audit

6. Improper Liens (47F‑3‑116)

• Threatening liens without legal basis
• Using liens as retaliation

7. Refusal to Provide Records (47F‑3‑118)

• Concealing minutes
• Concealing financials
• Concealing water system documents
• Concealing membership lists

8. Exposing the POA to Liability (47F‑3‑111)

• Negligent water system decisions
• Improper contracts
• Legal exposure due to misconduct

 III. Violations of Your Covenants & Restrictions (C&Rs)

1. Failure to Maintain Water System

C&Rs require the Association to “maintain the water and sewer systems…”

Violations:

• Water shutoffs
• Unsafe water conditions
• Failure to repair infrastructure

2. Failure to Maintain Common Properties

C&Rs require “maintaining, administering and expanding other common properties…”

Violations:

• Neglected roads
• Neglected trails
• Neglected greenways

3. Failure to Enforce Covenants Properly

C&Rs require “administering and enforcing covenants and restrictions…”

Violations:

• Selective enforcement
• Retaliatory enforcement
• Ignoring violations by favored members

4. Improper Handling of Assessments

C&Rs require “collecting, managing, and disbursing… fees, dues, assessments…”

Violations:

• Illegal assessments
• Misuse of funds
• No transparency

5. Failure to Provide Required Records

Violations:

• No minutes
• No financials
• No water system records

6. Violating Membership & Voting Rules

Violations:

• Wrongfully denying voting rights
• Manipulating eligibility lists

7. Acting Outside Scope of Authority

Violations:

• Enforcing rules not in C&Rs
• Ignoring developer restrictions still in effect

 Violations of the 2019 Approved By‑Laws

1. Refusal to Recognize the 2019 By‑Laws

This is the biggest violation.

“Approved… February 9, 2019.”

Violations:

• Enforcing outdated bylaws
• Ignoring adopted governing documents

2. Membership Violations

Violations:

• Wrongfully denying voting rights
• Wrongfully suspending members
• Using “good standing” as retaliation

3. Voting Rights Violations

Violations:

• Refusing to allow voting

4. Election Procedure Violations

Violations:

• No Nominating Committee
• No proper ballot format
• No 30‑day notice
• No Election Committee
• No public posting of results
• Allowing directors to serve more than two terms

5. Meeting Violations

Violations:

• Not holding annual membership meetings
• No minutes
• No meeting announcements
• Secret meetings
• No financial reports

6. Officer Duty Violations

Violations:

• Secretary not keeping minutes
• Treasurer not providing audits
• No annual budget
• No balance sheet

7. Committee Violations

Violations:

• No standing committees
• Improper committee appointments

8. Failure to Maintain Common Properties

By‑Laws require “maintain all Common Properties…”

Violations:

• Water system neglect
• Road neglect
• Trail neglect

 

FINAL SUMMARY: Your Board Has Violated Every Governing Authority

The Pine Mountain POA board has committed violations in all four categories:

✔ Statutory Violations (55A + 47F)

✔ Contractual Violations (C&Rs)

✔ Governance Violations (2019 By‑Laws)

This is overwhelming evidence for judicial removal under NCGS 55A‑8‑10.